CALIFORNIA'S BUDGET PROBLEMS

California's Budget Problems

California's Budget Problems

In the Legacy of Arnold Schwarzenegger, the new governor of California is Jerry Brown. To complete the state budget, he needs to allocate $25 billion. After years of cutting expenditures and overlapping costs, California has to do the same again. Before June 30, the Golden State has to arrange $6 billion and $19 billion for the fiscal year starting July 1, 2011(GoJo Staff, 2011).

In the Legacy of Arnold Schwarzenegger, the new governor of California is, Jerry Brown. To complete the state budget, he needs to find $ 25 billion. After years of having to cut costs and overlapping costs, California has to do the same again. Before June 30, the Golden State has to find $ 6 billion and $ 19 billion for the fiscal year in the starting July 1, 2010.

A little EQ can be expected if the great Ben Bernanke, aka Mr. Bailout, comes to the rescue. Anyway this challenge California faces shows that business journalists who believe the return of the American locomotive in the field are not nearly so.

Education Budget

The angry demonstrations by teachers, parents and school leaders have increased recently in many parts of California. They are directed against budget cuts of over $ 6 billion in Public Education recently announced by the state governor, Arnold Schwarzenegger for 2008-2009

These cuts $ 4.8 billion in secondary education and $ 1.3 billion in higher education are part of the overall budget cuts of ten percent proposed in social programs of the State and enterprises in order to recover, in part, a projected deficit of $ 16 billion in California state finances. The Governor himself has declared a "fiscal emergency" in early January in order to counter the deficit which stood at $ 14.5 billion.

Schwarzenegger must issue a revised budget proposal by May 15. Many analysts have predicted a sharp decline in property tax that would only worsen the current budget crisis and possibly lead to even greater cuts. Schwarzenegger is still refusing to raise taxes of any kind, especially those levied on the wealthiest resident in that State which he said cynically that they cannot afford to pay additional contributions.

Schwarzenegger's proposals have already led to the announcement of the dismissal of more than 20,000 teachers and school staff, only where grouping all classes from kindergarten to graduation. If his current budget request going on, it is likely that 87 000 teachers and additional staff would lose their jobs in these establishments.

You should see these events in their historical context. With the economy on the brink and two unpopular wars, a situation develops where masses of people face directly to the political establishment that requires them to pay for crisis they are in no way responsible.

A Global Phenomenon

In countries like Great Britain, the old social democratic parties like New Labour have abandoned any pretense to social reform and lead a fight for the privatization of education and reducing the salaries of teachers. On 24 April, more than 200,000 US teachers went on strike ...